Celios advocates labor-intensive programs to boost rural Indonesian economy

The Center of Economic and Law Studies (Celios) has emphasized the importance of labor-intensive programs, such as 'cash for work' initiatives, in driving employment and economic growth at the village level. Media Wahyudi Askar, Director of Public Policy and Fiscal Justice at Celios, noted that such programs have significantly decreased compared to previous years, highlighting a need for government intervention to address rural poverty and inequality.

According to data from BPS, Indonesia's Gini Ratio, which measures expenditure inequality, rose to 0.368 in March 2026 from 0.363 in September 2025. The urban Gini Ratio stood at 0.387, while the rural rate was 0.296.

Despite the rise in inequality, BPS reported a decrease in the number of poor people in Indonesia, falling by 430,000 to 22.93 million in March 2026. However, the national poverty line increased by 4.33 percent, reaching Rp669,235 per capita per month.